Prada

Prada S.p.A. is an Italian luxury fashion house that was founded in 1913 in Milan by Mario Prada. The company originally sold imported goods from England before it began using special waterproof nylon fabrics in the 1970s. This change was led by Miuccia Prada, the founder's granddaughter, and her husband, Patrizio Bertelli.

During the 1990s, Prada became well-known as a luxury brand thanks to its unique and creative designs. Around that time, Miuccia Prada also started a smaller brand called Miu Miu, which is part of the Prada company. Prada also worked with another company called LVMH to help with business decisions involving another fashion brand, Fendi.

In the late 2000s and early 2010s, Prada faced some challenges, including problems with sharing its shares with the public. However, the brand grew popular again in the 2020s. As Miuccia Prada and Patrizio Bertelli got older, they started letting their children help lead the company. Today, Prada makes billions of euros each year and is very popular with people who love fashion.

History

The company started in 1913 by Mario Prada and his brother Martino as Fratelli Prada, a leather goods shop in Milan. Initially, the shop sold imported English steamer trunks, handbags, travel accessories, beauty cases, jewellery, and luxury items.

Mario Prada opened an exclusive store in Milan’s prestigious Galleria Vittorio Emanuele II that sold leather bags, trunks, beauty cases, jewels, luxury accessories, and rare objects.

Prada did not believe women should have a role in business, so he prevented female family members from entering his company. Ironically, Mario's son had no interest in the business, so it was Mario's daughter Luisa who succeeded Mario and ran Prada for almost twenty years. Luisa's daughter, Miuccia Prada, joined the company in 1970, eventually taking over from Luisa in 1978.

Miuccia began making waterproof backpacks out of Pocono, a nylon fabric. She met Patrizio Bertelli in 1977, an Italian who had begun his own leather goods business at the age of 24, and he joined the company soon after. He advised Miuccia on company business, which she followed.

Miuccia inherited the company in 1978 by which time sales were up to U.S. $450,000. With Bertelli alongside her as business manager, Miuccia was allowed time to implement her creativity in the company's designs. She would go on to incorporate her ideas into the house of Prada that would change it. She released her first set of backpacks and totes in 1979. They were made out of a tough military spec black nylon that her grandfather had used as coverings for steamer trunks. Initial success was not instant, as they were hard to sell due to the lack of advertising and high prices, but the lines would go on to become her first commercial hit. Next, Miuccia and Bertelli sought out wholesale accounts for the bags in upscale department stores and boutiques worldwide. In 1983, Prada opened a second boutique in the centre of the Galleria Vittorio Emanuele in Milan's shopping heart, on the site of the previous historic "London House" emporium run by Felice Bellini from 1870 to the 1960s, reminiscent of the original shop, but with a sleek and modern contrast to it. The next big release was a nylon tote. That same year, the house of Prada began expansion across continental Europe and the United States by opening locations in prominent shopping districts within Florence, Paris, Madrid, and New York City. A shoe line was also released in 1984. In 1985 Miuccia released the "classic Prada handbag" that became an overnight sensation. Although practical and sturdy, its sleek lines and craftsmanship had a luxury that has become the Prada signature.

In 1987, Miuccia and Bertelli married. Prada launched its women's ready-to-wearing collection in 1988, and the designs came to be known for their dropped waistlines and narrow belts. Prada's popularity increased when the fashion world took notice of its clean lines, opulent fabrics, and basic colours.

The logo for the label was not as obvious a design element as those on bags from other prominent luxury brands such as Louis Vuitton. It tried to market its lack of prestigious appeal, including of its apparel, by projecting an image of "anti-status" or "inverse snobbery".

Prada's originality made it one of the most influential fashion houses, and the brand became a premium status symbol in the 1990s.

Sales were reported at L 70 billion, or US$31.7 million, in 1998. Patrizio di Marco took charge of the growing business in the United States after working for the house in Asia. He was successful in having the Prada bags prominently displayed in department stores, so that they could become a hit with fashion editors. Prada's continued success was attributed to its "working-class" theme which, Ginia Bellafante at The New York Times Magazine proclaimed, "was becoming chic in the high-tech, IPO-driven early 1990s." Furthermore, now husband and wife, Miuccia and Bertelli led the Prada label on a cautious expansion, making products hard to come by.

In 1992, the high fashion brand Miu Miu, named after Miuccia's nickname, launched. Miu Miu catered to younger consumers and celebrities. By 1993, Prada was awarded the Council of Fashion Designers of America award for accessories.

The first ready-to-wearing menswear collection was Spring/Summer 1998. By 1994, sales were at US$210 million, with clothing sales accounting for 20% (expected to double in 1995). Prada won another award from the CFDA, in 1995 as a "designer of the year" 1996 witnessed the opening of the 18,000 ft² Prada boutique in Manhattan, New York, the largest in the chain at the time. By now the House of Prada operated in 40 locations worldwide, 20 of which were in Japan. The company owned eight factories and subcontracted work from 84 other manufacturers in Italy. Prada's and Bertelli's respective businesses were merged to create Prapar B.V. in 1996. The name, however, was later changed to Prada B.V., and Patrizio Bertelli was named Chief Executive Officer of the Prada luxury company.

1996 can also be seen as marking an important turning point in Prada's aesthetics, one that fuelled the brand's worldwide reputation. Journalists praised Miuccia's development of an “ugly chic” style, which initially confused customers by offering blatantly unsexy outfits which then revealed to offer daring and original takes on the relationship between fashion and desire. Since then, Prada has been regarded as one of the most intelligent and conceptual designers.

In 1997, Prada posted revenue of US$674 million. Another store in Milan opened that same year. According to The Wall Street Journal, Bertelli smashed the windows of the store a day before the opening, after he had become deeply unsatisfied with the set-up. Bertelli also acquired shares in the Gucci group, and later blamed Gucci for "aping his wife's designs." In June 1998, Bertelli gained 9.5% return on investment at US$260 million. Analysts began to speculate that he was attempting a take over of the Gucci group. The proposition seemed unlikely, however, because Prada was at the time still a small company and was in debt. Funding Universe states that "At the very least, Prada had a voice as one of Gucci's largest shareholders (a 10 percent holding would be required for the right to request a seat on the board) and would stand to profit tidily should anyone try to take over Gucci." However, Bertelli sold his shares to Moët-Hennessy • Louis Vuitton chairman Bernard Arnault in January 1998 for a profit of US$140 million. Arnault was in fact attempting a take over of Gucci. LVMH had been purchasing fashion companies for a while and already owned Dior, Givenchy, and other luxury brands. Gucci, however, managed to fend him off by selling a 45% stake to industrialist François Pinault, for US$3 billion. In 1998, the first Prada menswear boutique opened in Los Angeles.

Prada was determined to hold a leading portfolio of luxury brands, like the Gucci group and LVMH. Prada purchased 51% of Helmut Lang's company based in New York for US$40 million in March 1999. Lang's company was worth about US$100 million. Months later, Prada paid US$105 million to have full control of Jil Sander A.G., a German-based company with annual revenue of US$100 million. The purchase gained Prada a foothold in Germany, and months later Jil Sander resigned as chairwoman of her namesake company. Church & Company, an English shoemaker, also came under the control of Prada, when Prada bought 83% of the company for US$170 million. A joint venture between Prada and the De Rigo group was also formed that year to produce Prada eyewear. In October 1999, Prada joined with LVMH and beat Gucci to buy a 51% stake in the Rome-based Fendi S.p.A. Prada's share of the purchase (25.5%) was worth US$241.5 million out of the reported US$520 million total paid by both Prada and LVMH. Prada took on debts of Fendi, as the latter company was not doing well financially.

These acquisitions elevated Prada to the top of the luxury goods market in Europe. Revenue tripled from that of 1996, to L2 trillion. Despite apparent success, the company was still in debt.

The company's merger and purchasing sprees slowed in the 2000s. However, the company signed a loose agreement with Azzedine Alaia. Skincare products in unit doses were introduced in the United States, Japan, and Europe in 2000. A 30-day supply of cleansing lotion was marketed at the retail price of US$100. To help pay off debts of over US$850 million, the company planned on listing 30% of the company on the Milan Stock Exchange in June 2001. However, the offering slowed down after a decline in spending on luxury goods in the United States and Japan. In 2001, under the pressure of his bankers, Bertelli sold all of Prada's 25.5% share in Fendi to LVMH. The sale raised only US$295 million.

By 2006, the Helmut Lang, Amy Fairclough, Ghee, and Jil Sander labels were sold. Jil Sander was sold to the private equity firm Change Capital Partners, which was headed by Luc Vandevelde, the chairman of Carrefour, while the Helmut Lang label is now owned by Japanese fashion company Link Theory. Prada is still recovering from the Fendi debt. More recently, a 45% stake of the Church & Company brand has been sold to Equinox.

The Prada Spring/Summer 2009 Ready-to-Wearing fashion show, held on 23 September 2008 in Milan, got infamous coverage because all the models on the catwalk were tottering – several of them stumbled, while two models fell down in front of the photographers and had to be helped by spectators to get up. They removed their shoes in order to continue their walk. One more model (Sigrid Agren) even had to stop and go back during the finale walk as she couldn't manage walking in her high heels any longer. Interviewed right after the show, one model declared: "I was having a panic attack, my hands were shaking. The heels were so high." The designer Miuccia Prada, on her side, did not blame the height of the shoes, but the silk little socks inside, which were slippery and moved inside of the shoes, preventing the models' feet from having a correct grip on the sole. Miuccia Prada also assured that the shoes sold in stores would have a lower heel, and that the little socks would be sewn into the shoes in order to prevent further slips. But many fashionistas rightly claimed that the socks, once sewn into the shoes, would be non-washable and would quickly stink and become grey. Consequently, the shoes have never been commercially sold.

According to Fortune, Bertelli planned on increasing revenue of the company to US$5 billion by 2010.

On 6 May 2011, Hong Kong Stock Exchange came under fire for approving Prada's IPO despite the Prada Gender Discrimination Case. Feminist NGOs and Hong Kong Legislative Council lawmaker Lee Cheuk-yan protested in front of the Hong Kong Stock Exchange.

On 24 June 2011, the brand was listed on the Hong Kong Stock Exchange to raise $2.14 billion, but failed to meet expectations reported by AAP on 17 June 2011 and Bloomberg.

In 2015, Prada's turnover was €3.55 billion euros, up 1% from 2014, while its gross operating profit fell 16.5 percent to 954.2 million euros.

In July 2016, Prada began selling its clothing online through Net-a-Porter and Mytheresa in response to changing consumer preferences and the need to reach a wider audience. This strategic move allowed Prada to tap into e-commerce expertise, reduce overhead costs, and adapt to the digital age while maintaining its luxury brand image.

As of March 2018, Prada's sales turned positive after declining since 2014, and their stock jumped 14% at the news.

Stating that Prada would be "(f)ocusing on innovative materials will allow the company to explore new boundaries of creative design while meeting the demand for ethical products," the company announced in 2019 that fur will be eliminated from the collection and all house brands as of 2020.

In February 2020, Miuccia Prada and Patrizio Bertelli named the Belgian designer Raf Simons as co-creative director.

In August 2020, the fashion house announced it would no longer use kangaroo leather in its products. In 2020, fashion magazine Vanity Teen promoted its Prada Resort 21 campaign.

January 2023 saw Prada announce Andrea Guerra as its next CEO; Guerra formerly was CEO of both Luxottica and Eataly, and later the leader of LVMH's hotel division. Guerra was onboarded to ease the transition between the Bertelli and his children, who are expected to inherit the company. One of Guerra's first moves was to look at dual listing Prada stock on both the Hong Kong Stock Exchange as well as on a European stock exchange, expected to be one in Milan.

On April 10, 2025, Prada acquired Versace from Capri Holdings group for 1.25 billion euros. In December 2025, Capri Holdings announced the acquisition has been completed. With the acquisition of Versace, Prada begins to lay the foundations for the creation of a large Italian fashion group that can rival the French ones. They were previously bought by Capri Holdings in 2018 for $2.15 billion. The new deal with Prada will also include Versace’s debt. Prada chairman Patrizio Bertelli said that the group plans to preserve Versace’s aesthetics and finds great potential in the brand. Donatella Versace stepped down as creative director after 27 years at the company and is now the brand’s chief ambassador. Dario Vitale was appointed as Versace’s chief creative officer after her.

Businesses today

Runway shows

Prada holds special fashion shows several times a year in Milan, often in their own buildings. Their first women's fashion show was in Milan in 1988, and the first men's show was in 1998. In 2019, a show was held in New York City and shown on big screens in Times Square. Famous people like actors have walked in Prada's shows. The music for these shows is made by Frédéric Sanchez.

Boutiques

Prada has asked famous architects to design their big stores around the world. The very first Prada store opened in Milan in 1913. Over the years, new stores opened in many cities such as New York, London, Paris, Tokyo, and more. In 2012, Prada opened a huge store in Dubai.

Other activities

In 2007, Miuccia Prada helped design clothes for two digital characters in the movie Appleseed Ex Machina. In 2010, she made costumes for Attila by Giuseppe Verdi, which had its first showing at New York’s Metropolitan Opera. She also worked on costumes for Baz Luhrmann's film The Great Gatsby with costume designer Catherine Martin in 2013.

Prada started making glasses in 1999 with a partner, but later sold this part of the business to Luxottica in 2003. In 2004, Prada began making perfumes with the Puig company, adding men’s scents in 2006. Later, L'Oreal Group took over this part of the business in 2021.

In 2007, Prada also began making mobile phones with LG Electronics, creating some of the first smartphones, like the LG Prada (KE850). Prada made watches from 2007 to 2012, and one model could connect to a special phone using bluetooth technology. In 2024, Prada worked with Axiom Space to design special clothing for astronauts for NASA’s Artemis III mission.

Prada in popular culture

Films

The 2006 movie The Devil Wears Prada, based on a book by Lauren Weisberger, featured Meryl Streep in a leading role. Her character wore many Prada shoes, chosen by costume designer Patricia Field. Anna Wintour, a famous fashion editor, also wore Prada to the movie’s first showing.

Art

In 2005, an art project called "Prada Marfa" was built in Texas. It looked like a Prada store but was meant to blend into nature over time. Real Prada shoes and bags were used, but the place was broken into. After that, the artists decided to keep it there forever.

Brand Ambassadors

Starting in 2023, the K-pop group ENHYPEN became faces of Prada, often wearing the brand’s clothes at big events and concerts.

Controversy

2009 discrimination case

In 2010, a big lawsuit about fairness at work happened at Prada. An former worker said the company treated women unfairly, especially about their age and looks. The court decided that Prada’s actions were okay for a fancy fashion company, but the case brought attention to how companies should treat their workers.

Labour rights

Prada buys materials from a factory in Turkey that was not treating its workers well. Groups that care about workers’ rights asked Prada to help make sure workers could join together without being punished. There were also worries that Prada might have been using factories where people were forced to work in very hard conditions.

Ostrich leather

In 2015, a story came out about how some luxury brands, including Prada, used skin from ostriches in their products. Some people were upset because they thought the way the skin was taken from the birds was not kind.

Blackface imagery

In 2018, Prada had to stop selling some items because people said they looked like old, hurtful images of Black people. Prada said they were very sorry and promised to do better. They also started a group to help make sure all people are treated with respect.

Investigation on tax evasion

In 2014, Prada was looked at by experts to see if they were hiding money they should have paid taxes on. The leaders of the company had to pay a large amount of money to settle the issue, but the looking was stopped because the money was paid.

Appropriation of Indian traditional clothes

Prada made shoes that looked a lot like traditional Indian shoes but did not give credit to the people who made them. After people said this was not fair, Prada worked with Indian groups to make special shoes that help Indian workers learn new skills and earn fair pay. These special shoes went on sale in 2026.